remove extra cr\lf from XSL transformed XML with indent=yes

We transform an XML using XSL into another XML structure.
at first the result XML turned out with no line break after each XML element.
then we added method="xml" indent="yes", and we got our line breaks in place.

however, it turns out that the transformation engine added an extra line break (cr\lf) before each one of the elements (That includes the xml header element).

we wanted:

   text
   text
   text



at first we got:
texttexttext

we added indent=yes and got:



   text

   text

   text




Any idea of how to get a linebreak between xml elements, but not an extra one?